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Brad Huxter offers to pay $1,000 over the dealer's cost for a luxury coupe. The base price is $62,685 and options total $5,209. There is no destination charge. If the dealer's costs are 87 percent of the base price and 89 percent of the options, what is Huxter's offer? A) $65,214.38 B) $67,294.65 C) $67,685.00 D) $68,685.00

1 Answer

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Final answer:

Brad Huxter's offer is calculated as $1,000 more than the dealer's cost. The dealer's cost consists of 87 percent of the base price and 89 percent of the options, which are totaled before adding the extra $1,000. The correct offer amount is $60,171.06, which is not listed in the provided options.

Step-by-step explanation:

To solve this, we'll need to calculate the dealer's cost for both the base price and the options on the car, and then add Brad Huxter's offer of $1,000 over this cost.

First, let's find the dealer's cost for the base price which is 87 percent of $62,685:

Dealer's base cost = $62,685 × 0.87 = $54,536.05

Next, we calculate the dealer's cost for the options, which is 89 percent of $5,209:

Dealer's options cost = $5,209 × 0.89 = $4,635.01

The total dealer's cost is the sum of the dealer's base cost and the dealer's options cost:

Total dealer's cost = $54,536.05 + $4,635.01 = $59,171.06

Brad Huxter's offer is $1,000 more than the total dealer's cost:

Brad Huxter's offer = Total dealer's cost + $1,000 = $59,171.06 + $1,000 = $60,171.06

This means Brad Huxter's offer does not match any of the options provided (A, B, C, D). Therefore the correct answer must be calculated and is $60,171.06.

User Matthias Wiedemann
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